Set up a recurring journal for Reducing Balance Depreciation

[Darren_Smith]

Hi,

Is there a way to create a recurring journal for the reducing balance depreciation method?

If I depreciate at year end, I have this schedule:

But I might like to apply depreciation monthly.

I can’t use an ordinary repeating journal for this because the depreciation charge will be different each month.

For example, if I want to follow a schedule similar to this going forward into 2025.

The value of the depreciation for each month follows a formula, which is:

Monthly Depreciation = Opening Balance x 18% x (1/12)

I’m wondering if there is a way to somehow use a formula in a recurring journal or maybe a different method to automate this?

Thanks
.

[ian_roberts]

It’s not something that QuickFile supports natively, if you wanted to automate it you’d probably have to script something with the API (e.g. set up the calculations in a Google Sheet and use an apps script timed trigger to call the “create journal” API once a month).

Mathematically wouldn’t the calculation involve a twelfth root somewhere? If you want the balance after 12 months to be 82% of its starting amount then each month you want to multiply it by 0.82^1/12, which works out as 1.64% depreciation per month.

[Darren_Smith]

Thanks Ian,

Any comments from official QF support

Regards

[QFMathew]

Hi @Darren_Smith

As @ian_roberts mentioned, it’s not something we support natively, but could certainly achieve through our API.

You’re welcome to start a Feature Request request for this if you wish.